Repayment of 4.5% Preference Stock

Securities Trust of Scotland PLC
8 November 1999

Securities Trust of Scotland plc - Repayment of 4.5% Preference Stock

The board of Securities Trust of Scotland plc ( 'The Company' ) announce that
the Court of Session is satisfied that the capital reduction will not
prejudice the interests of the Company's creditors and accordingly the share
capital of the Company was reduced on October 29th 1999 from £82,922,500 divided
into £2,842,500 4.5% per cent. preference stock and 320,320,000 Ordinary Shares
of 25p each to £80,080,000 divided into 320,320,000 Ordinary Shares of 25p each

Holders of the 4.5% per cent. preference stock, on the register as at 28
October 1999, will be paid £1 per £1 nominal of such stock in full
satisfaction and discharge of the whole of the capital paid up on their 4.5%
preference stock together with the accrued dividend of 0.3575p per share. The
payments will be made as soon as is practical and in any case no later than
November 30th 1999.